Using your own vehicle for delivery services has become very popular in the recent years, whether driving a person or group somewhere, grabbing and delivering a take-out order, or picking up groceries for a customer. More and more people are utilizing services like this through companies like Uber, Lyft, DoorDash, and so on.
Ridesharing has become a sought-after service to save the user a trip to the store, save extra costs on public transportation, and make things more convenient as a consumer. On the flip side, it has become a great way for drivers to earn some extra money on the side.
But did you know that your auto insurance policy may not cover you if you get into an accident while on the clock? Many companies will EXCLUDE coverage and payment of a claim if the vehicle was being used for any transportation of goods or persons for a fee. Some insurance companies won’t write policies if a driver participates in any ridesharing activities, but a few can offer an endorsement to cover you in the event of a claim.
Ridesharing companies offer coverage for when you’re logged into their platform and performing services. However, the coverage may not be enough in the case of a serious accident involving many parties, or may have higher deductibles (more money out of your pocket). Some ridesharing companies will limit coverage if you’re logged into their app but haven’t accepted any jobs yet.
Knowing which insurance companies want this business and which ones want to stay away from it shouldn’t be your job; give us a call if you’re unsure if you have sufficient coverage. Ridesharing can be a great gig but can also leave you exposed if you haven’t given thought to the insurance piece of it… and that’s why we’re here.